Question

A state's GSDP growth rate being higher than its national GDP growth rate implies that:

• A. The state has the largest economy (GSDP) among all states.
• B. The national GDP is necessarily declining due to the state's rapid growth.
• C. The state has achieved complete eradication of poverty and inequality.
• D. The state is contributing disproportionately to national economic growth.

Answer 1

Answer:

D. The state is contributing disproportionately to national economic growth.

• When a state's GSDP grows faster than the national GDP, it means the state's economic output is expanding more rapidly than the country as a whole, driving national growth.